installment sale to rental property
Very complicated situation. Client purchases a house to be used as rental property but three months later in same year initiates an Installment Sale with individuals wanting to purchase on contract. For past three years client has filed 6252 with his 1040. In 2013 individuals that live in home and were buying on contract want to rent because of financial difficulties in coming up with balloon payment. Client quit claim deeded to his LLC which has numerous rental properties. How is this treated between the two returns?